Tempe Home Loan Modification
Tempe has long been a widely-known area in Arizona, and it boasts of many attractions, including Arizona State University. Given its long-standing place in Arizona society, the area has also largely been known as a stable and affluent place to live, study and work. However, the economic meltdown over the past year has not spared Tempe, and a look at some of the relevant real estate statistics should show anyone why home loan modification attorneys are accepting an enormous number of inquiries as homeowners attempt to stave off foreclosure and to save their homes.
Throughout 2005 and through most of 2006, Tempe’s real estate market was as stable as it had been historically, even enjoying the benefits of growth that the Phoenix area overall enjoyed as the population grew. For instance, during 2005 and throughout 2006, the foreclosure rate on homes hovered at just barely more than 0%. In addition, during the same time frame, the percentage of homes sold at a loss stood solidly at less than 2%.
However, that has all changed in recent months. During the past year, the median home value in Tempe has decreased by approximately 20%, and foreclosures have skyrocketed to more than 2.2% in this otherwise affluent area. Finally, almost 30% of homes in Tempe that have been sold in the past year have been sold at a loss. All of this is clearly troublesome, but hardly unique when compared to other parts of Arizona.
When home values decrease, more and more people find themselves in homes that have a loan on them that’s higher than the property’s value. When foreclosure rates explode and homes are sold at a loss, it only increases the pressure on those who remain to keep their heads above water in terms of their overall investment. As a result of this trend, lawmakers have opened the door to new options for those homeowners who want to save their homes.
One of those options is a home loan modification. This program allows homeowners who qualify to basically reformulate their existing mortgage towards terms that are more manageable. Lenders are willing to take this step most of the time to avoid having to incur the expense of foreclosing on homes and being left with properties that they will have to sell at a loss.
However, obtaining a home loan modification involves more than simply filling out forms. You need the help of a Tempe home loan modification lawyer who understands not only the laws that apply but how to negotiate terms that are as equitable as possible. Contact Phillips & Associates today to schedule a free initial consultation.
Tags: Arizona, foreclosures, mortgage, property value, Tempe home loan modification, Tempe home loan modification lawyer